Ethereum ($ETH) failed to sustain the $1.8,000 level and fell to a low of $1,773 before rising slightly. At the time of writing, Ethereum was trading around $1,780 after falling 1.26% on the daily chart.
Amid this market volatility, traders on both sides are engaged in a fierce battle to regain control of the market.
Ethereum: Bears and bulls fight for market control
Traders took notice as Ethereum failed to sustain its upward momentum and $1.8k became a stubborn resistance. As a result, wealthy investors deployed large sums of money to open both short and long positions.
According to Lookonchain, a trader opened a 20x short at $30,000 $ETH Worth $53.49 million. and $ETH Showing some strength, traders have already gained $846,400 on this position.
Historically, this trader has had a strong winning record, having previously earned over $444,000 trading other coins. This short position indicated bearish expectations of the whales.
The second trader opened 10x long at 30,000 $ETH Worth $53.49 million. So far, the whale is down $823,100. $ETH It continues to go down.
This trader also has a strong winning record, with eight closed trades and six wins, totaling $3.1 million in profits. Whales’ decision to open long suggested they were bullish and hopeful $ETH To rebound.
Derivatives traders remain bearish
Although the two traders mentioned above expressed interest, overall market participants remained bearish and were actively selling at the time of writing.
In particular, the taker-buy-sell ratio for derivatives was below 1. Currently, it is around 0.946, a level last seen two weeks ago.
When this indicator is less than 1, it suggests that more sell-side trades were executed in the derivatives market. Looking at Futures Netflow metrics supports this view.
For example, in the past 12 hours, $5.94 billion was drained from futures positions. Altcoin futures net flows decreased to -$88 million.
Outflows were even more extreme in the 8-hour and 4-hour time frames, periods when net flows fell towards -$200 million.
what’s next $ETH?
Although derivatives are dominated by sellers, Ethereum’s overall directional momentum shows some stability. Therefore, money is flowing into both longs and shorts, and momentum is building.
If you look at ADX with the SMA indicator, the positive index is significantly higher than the negative index. At the same time, the SMA and ADX are also below +DI, suggesting that upward momentum is currently strong.
When this indicator is set this way, it often indicates the potential for an upside recovery. Capital flows could help if the battle between bulls and bears continues $ETH 1. Recovers $18,000 and prepares for further upside.
However, if the downtrend continues and the bulls are liquidated, we could see a further drop below $1.7,000.
Final summary
- The battle between bulls and bears intensifies in Ethereum: one trader opens a short position of $53.49 million, another opens a long position of $53.49 million.
- $ETH It failed to hold $1.8,000 and fell to a low of $1,773, but the directional momentum remains stable.
